Centrica News & Analysis

British Gas CEO Predicts £332 Increase in Energy Bills if Oil Prices Remain High

Centrica's CEO Chris O'Shea stated that household energy bills in England, Scotland, and Wales could rise by an average of £332 starting in July if oil prices stay elevated. This forecast follows a £117 decrease from April due to the energy price cap. Since the onset of the US-Israel conflict with Iran, crude oil prices have risen 45%, reaching $106 per barrel, with 20% of global oil supply typically passing through the Strait of Hormuz, which is currently impacted by the conflict. O'Shea emphasized that the loss of gas supply has been minimal, affecting only 3-4% globally, leading to a comparatively smaller impact on electricity bills.